Prorated Accruals Overview

The Prorated Accruals integration adapts, recalculates, and distributes accruals entitlements proportionally (prorated) for any change in employment status, accrual profile, or full-time-equivalent (FTE) status that occurs during an accrual period.

The following changes qualify accruals to be prorated for this integration:

• Hire or rehire: This extension prorates and distributes accruals entitlements for newly hired or rehired employees who enter service during an accruals period. The employment status date serves as the hire or rehire date.
• FTE contract change: Recalculate and distribute accruals when employees change status to FTE.

  Optionally, adjust accruals as follows:

  • On the FTE-adjusted carryover limit date
  • When the FTE-adjusted earning amount limit is reached
• Profile change: Distribute accruals entitlements when an employee's accrual profile changes during an accruals period, including support for multiple accruals profiles.
• Termination: Recalculate and distribute accruals, and automatically pay the ending balance​, when employees are terminated.
  Caution: If this integration includes a payout for a terminated employee, and subsequent changes are made such as a change to the termination date, you must manually remove the payout adjustment before you run the integration again.

This integration distributes accruals entitlements proportionally on the date of hire, date of FTE contract change, date of accrual change, or date of termination, based on the number of periods employees are active during the accruals period.

This integration can consider future-dated changes so that adjustments are accounted for in the projected accrual ending balances.

• You can run this integration for Hyperfinds, Location Queries (single or multiple), and specific Employee IDs. Separate multiple Employee IDs by commas ( ,).
• This integration rounds accrual amounts only when rounding rules are configured in the cross-reference table (CRT) with round and grace values for an Accrual policy. Computation of prorated accrual amounts includes intermittent rounding.
• This integration evaluates future changes based on the last sign-off date and assumes that employees are signed off correctly. If an employee did not sign off, the integration uses the hire date as the start date. This integration cannot accommodate adjustments to the sign-off period.
• SDM
  • This integration requires a zip file for Setup Data Manager (SDM) that contains the Accrual Policies and dependencies (accrual code, grant, date, date pattern, and accrual limits), because the integration uses this file to check the accruals configuration.
  • You can download output files from the Run Summary of the integration. The integration replaces the previous output file so that the only version that is available is for the most recent run. The output file contains the accrual building blocks as defined in the SDM zip file. These output files include valid and invalid data for accruals, and appropriate error messages for invalid data. Use these files to debug accruals-configuration errors.
  • The process to upload the zip file with SDM is automated. Browse for the exported zip file that was saved, then run the Integration. The integration archives the zip file to an extension table. Because data that is uploaded to the SFTP site is subject to a 30-day retention policy, the storage of the zip file to an extension table preserves the reference data beyond the retention period when the file can be removed from the SFTP site.
  • Refer to the Configure SDM for the Prorated Accruals integration section of the Configure the Prorated Accruals Integration topic.
• For carryover adjustment, this integration moves the accruals as follows. The integration calculates and stores the adjustment amount in temporary accruals. These accruals and the policies must be in the employees’ Accrual Profiles, but can remain hidden. If accruals are in days and hours, you must create 2 temporary accruals; for example, Carryover Days Adjustment and Carryover Hours Adjustment.
• This integration provides a framework for different prorating options if the following options are enabled:
  • New hires
  • Terminations
  • FTE changes
  • Accrual profile changes
  Caution: Do not prompt users for the following parameters: EnableNewHire, EnableFTEChange, EnableAccrualProfileChange, EnableTermination, EnableEarningAmountLimit, or EnableCarryoverLimit. Modifying these parameters does not trigger a re-run of the integration for employee records that have been processed already, unless the records have new changes.
• This integration supports re-runs and adjusts previous adjustments for subsequent changes as follows:
  • Employment status: for new hires, re-hires, terminations

    Add, delete, and update employment status in employee records.

  • FTE: for contract changes

    Add, delete, and update FTE information in employee records.

  • Accrual profile: for promotions, regulatory changes

    Add, delete, and update accrual profiles in employee records or assigned employment terms.

    Record changes to effective dates in accrual profile.

    Rename accrual policies or accrual profile.

    Add or delete accrual policies in the assigned accrual profile.

  • Rounding rules: for regulatory changes

    Adjust round and grace values in the accrual policy.

• This integration checks for recalculations of carryover and earning amount limits in every run regardless of changes to accruals.
• For rehires, this integration expects changes to employment status and override dates for date patterns that were created with a hire date. This makes sure that the integration and application use the correct rehire date when processing accruals.
• This integration does not monitor changes to any other parameters.
• If an accrual payout is enabled, this integration initiates the payouts for employees whose termination date falls within the period from Sign-off +1 day to the (current) date of the integration run. However, the accrual balance on termination is prorated for future dates too.
  Note: When an employee is terminated, you have to process all remaining accruals balances including those that are not subject to prorating. So, this integration automatically pays out all accruals that are configured with a payout paycode in the accrual policy regardless of the settings in the Setup Data Manager (SDM). This ensures that the relevant amounts are prorated without the need for manual intervention.
• This integration prorates earning-amount limits for the period of Sign-off + 1 day based on the number of days that the LimitsLookForwardDays parameter specifies.
  • If no sign-off date is available, the integration instead uses the active employment status date. If an employee did not sign off, the integration uses the hire date as the start date.
  • If the start date of the date pattern for the earning amount limit is within the calculated period, but the end date is outside of this period, the integration processes the earning amount limit for the entire date range of the earning amount limit date pattern. To do so, the integration extends the end of the period to match the end date of the date pattern of the earning amount limit.
• The end date depends on the type of event:
  • For hire, rehire, termination, FTE changes, or accrual profile changes, this integration supports any future dates.
  • For carryover and earning-amount limits, the LimitsLookForwardDays parameter sets the end date, and number of days in that parameter is added to the start date.
• This integration processes only hours- and day-based accruals, not money-based accruals.
• For accrual policies, this integration supports the length of service option for grants, carryover limit, and earning amount limit. Length of service frequency can be Yearly, Monthly, Weekly, Daily, and None.

• Support for effective-dated accrual policy changes is enabled, and this integration expects policy updates at the start of the accrual period. The integration disqualifies accrual policies only if all versions are invalid. For policies that have partially valid versions, the integration prorates. If a policy is disqualified, it is not prorated, but the integration processes other policies that have no change in effective date, or those that are partially valid.

• Supported grant amounts can be in Days, Weeks, Months, or Years. You cannot configure multiple grants for a single accrual policy, except for multiple grants for length of service.
• For fixed-type accrual grants, select Adjust grant according to FTE to prorate the grant amount based on the full-time equivalent (FTE).
• For fixed-type accrual grants, the full-time equivalent (FTE) option supports Adjust grant according to FTE or Do not adjust grant according to FTE.
• The date pattern starts must be Start of Reference Date, Start on or after Reference Date, or Start on or before Reference Date with no offset.
• This integration ignores the probation period configuration if it is defined in the accrual policy
• FTE adjustments for carryover limits can only be at a yearly frequency.
• Employment terms must be configured with the Enforce End Date process type.

• This integration calculates carryover and earning amount limits without errors even if no fixed grant is specified in the accrual policy, but with the following limitations:

  If the accrual policy defines only the earned grant, the integration does not process that accrual policy.

  Accrual profiles can include money-type policies, but the integration ignores these types of policies.

  Accrual policies support multiple versions. However, make any changes to the grant amount or limit amount on the Grant Start Date or Limit Start Date to prevent inconsistencies in adjustment results during the integration run.

  The integration disqualifies accrual policies only if all versions are invalid. If some versions are valid, the integration prorates. If a policy is disqualified, it is not prorated, but the integration prorates other policies in the employee profile that are partially valid or have no changes to effective dates.

  If the accrual policy is effectively dated, the find-dependency function selects only the data for the current version. However, the integration requires data from all versions of the accrual policy. To avoid disqualification of a policy, make sure that all data for the Accrual Code, Dates, Date Pattern, Grants, and Limits are included in the exported file for SDM.

  If the integration makes prorated accrual adjustments, and the accrual policy is updated later with an effect-ive date, the integration does not run again for the employees unless a qualifying change occurs. Example: The integration adjusts an employee's FTE on January 15, 2025, and the company changes the amount in the policy effective from January 1, 2025. If the integration reruns after an update of the SDM file, the integration does not make any adjustments to the record because it is disqualified. To rerun the integration so that it updates the record, the policy must have a change that qualifies, such as a change to the name of the accrual profile or policy.

• Prorated Accruals v5 – Hire Date Calculation

  The Prorated Accruals integration uses the Employment Status Active Effective Date as the Hire Date by default instead of the Employee Record Hire Date only if both dates are the same. However, if these dates differ such as for new or migrated systems, accrual calculations can be inconsistent between the integrated systems.

  Note: Example: If an employee's Employee Record Hire Date is 2010-02-19, but the Employment Status Active Effective Date is 2024-07-01, the integration takes 2024-07-01 as the Hire Date, while the Workforce Management system uses 2010-02-19. This mismatch can cause incorrect balances especially when Accrual Grant, Limit, or Length of Service Date Patterns use the Employee Record Hire Date.
  To prevent such inconsistencies, make sure that both systems use the correct Hire Date as follows:

  1. Create or use an existing Person Date in the Dates section of the Accruals setup.

  2. Assign this Person Date to the Grant, Limit, and Length of Service Date Patterns.

  3. Override this Person Date in the Person Dates section of the Employee Record with the Employee Record Hire Date.

  If missing accrual attributes cause errors in the integration run, the API response raises error messages and sends the records to Additional Details.

  Note: Recommendation: For systems that are migrating from Workforce Central (WFC), add an accrual update or reset, paycode addition, or punch addition to the employee's Hire Date (that is, the Employment Status Active Date) before you run this integration. Then, the accrual engine can perform the necessary calculations on the employee's timecard.